Finally, BT’s acquisition of EE has been approved by the Competition and Markets Authority, who have now accepted the £12.5 billion buyout of the carrier.
The authority said that the deal was unlikely to harm competition as BT was small in mobile markets, whilst EE was small in the broadband market.
This will mean that BT will have a service in the big four services, TV, Broadband, mobile and landline.
“The evidence does not show that this merger is likely to cause significant harm to competition or the interests of consumers,” said John Wotton of the CMA.
EE is being sold by the companies current owners, Orange and Deutsche Telekom.who will hold 12
Deutsche Telekom will hold 12 percent of the new business and will keep a seat on the board, Orange will have a 4 percent share, and keep £3.4 billion in cash.
BT has previously stated that it raised the money for the purchase of EE by placing new shares to the value of £1 billion, but they already have a plan to get some of that back, stating that they can safe the company £360 million a year in operating costs and capital investment, which should generate an extra £1.6 billion a year in sales.
It’s currently unknown whether or not BT will keep the EE name, or if it will renamed to BT Mobile.
EE is currently the market leader for 4G connections, and currently offer the fastest mobile network in the UK, with 7.7 million subscribers.